Global credit insurer Coface reports in its latest economic Panorama that economic activity is gaining strength in the Middle East and North Africa region. Growth is expected to stand at 2.6% in 2014 and accelerate to 3.2% in 2015 on the back of global economic recovery and preliminary signs of political consensus in some countries of the region. However, growth rates will remain below the 2000-2010 average of 5.4%.
Turkey Panorama: Depreciation in exchange rates and sluggish domestic demand affect corporate payment performance01/20/2015
Global credit insurer Coface focuses on in its latest economic Panorama. The currency depre-ciation, which stabilized after Central Bank intervention in January 2014, continues to nega-tively affect company balance sheets. Credit restriction measures introduced at the same time to contain the current accounts deficit have slowed down domestic demand. In line with these developments, Coface has noted impairments in the payment capacities of sectors with pro-duction and sales concentrated predominantly on the domestic market.
In a context of slow inflation (“low-flation”) and flat growth, France is in danger of not being able to escape the vicious circle of falling prices. It is possible that France, without going to the extremes of US Great Depression, could experience a lengthy period of price and growth stagnation, such as happened in Japan between 1990 and 2010. If so, what would it mean for the French economy and its companies?